Who has the duty to disclose material defects to a buyer in Florida real estate transactions?

• A. Buyer
• B. Real estate appraiser
• C. Lender
• D. Seller

Answer: (D)

In Florida, the seller has the duty to disclose known material defects to the buyer. This is typically done through the Seller's Property Disclosure Statement, and it exists because the seller is the party most aware of the property’s condition and the buyer relies on those disclosures when deciding to purchase and price the property. Discloseable issues include problems that could affect value or desirability, such as structural concerns, water intrusion, termite damage, roof issues, and other defects the seller knows about. Of course, buyers should still arrange professional inspections to uncover any issues the seller may not know or disclose. The appraiser and the lender have different roles—appraisal focuses on value and condition for the report, while the lender assesses financing risk—but they do not carry the duty to disclose defects to the buyer.